Massively multiplayer online games (MMOGs) are online computer games capable of supporting hundreds or thousands of players simultaneously. Millions of users worldwide have created a virtual identity (alter-ego) on various MMOGs and other virtual online worlds. Users of virtual worlds spend hundreds of hours playing and creating their virtual identities and winning various virtual items and currencies. With attainment of such virtual items comes the desire to trade or otherwise transact for other virtual items. Currently, there does not exist a transaction mechanism that guarantees completion of such transactions for virtual items before payment. For example, existing virtual trading mechanism are often subject to fraud since it is difficult to authenticate the identities of the parties and items involved in such virtual worlds. As a result, the market for trading and transacting virtual items has languished, waiting for a transaction mechanism that guarantees completion of the transaction before payment.